Cyber risk management best practices revealed

Cyber risk professionals consider insuring cyber risk as one the best practices that will help them manage the impact caused by a cyber breach, it has been revealed.

During the recently held International Cyber Risk Management Conference (ICRMC), delegates shared experiences and discussed risk trends as well as the challenges faced within the insurance industry as it pertains to cyber risk. Cyber insurance was found to be the key element of their cyber risk management approach. They also highlighted how blockchain and artificial intelligence (AI) form part of their toolkit for reducing cyber risks, as well as providing perspective on Bermuda’s expertise and offerings as a regulatory jurisdiction and center of excellence for insurance.

“The discussions were provocative given recent breach events including the Marriott and Starwood breach,” ICRMC producer and MSA Research president and CEO Joel Baker said. “How much data should be asked of consumers, and the responsibilities that come with its collection warrant strategic consideration in terms of customer experience and cybersecurity.”

Meanwhile, Risk Management 101 president and past chair of RIMS Canada Council Darius Delon commended the speakers, including those who spent a portion of their careers working on cyber risk management for the Secret Service, FBI and the Department of Justice, for their in-depth stories.

“The 2018 International Cyber Risk Management Conference in Bermuda offered the perfect blend of cyber technical content as well as international insurance market perspective in an environment that was highly conducive to networking,” Chubb global cyber risk practice division president Bill Stewart added. “I highly recommend this conference for anyone that is serious about understanding this rapidly evolving marketplace.”

A total of 206 delegates registered for the event including cyber risk professionals and industry executives from across Canada, the United States, the United Kingdom, and Bermuda. Almost half of the delegates consisted of C-Suite level executives.

Managing risk on a frequent basis is the primary function of any commercial companies’ risk or safety manager, but you as their agent have a valuable role in leveraging the risk/safety manager to prevent claims. While there is no doubt having an active risk management/safety plan will impact claims frequency, the better risk plan is built in accordance with industry regulations.